Apple’s VR Headset: A Bold Move or a Bad Timing?

Apple's rumored mixed reality headset, which has been long-awaited, may be revealed soon, but the company may be getting into the VR game at the worst possible time. According to a new blog post by analyst Ming-Chi Kuo, some of the biggest recent bets in VR have largely flopped.

• Sony has cut its 2023 production plan for the PS VR2 by about 20 percent. 
• The product lifecycle shipment for Meta's Quest Pro is only around 300,000 units
• Pico's (China’s largest AR/VR headset brand) shipments in 2022 were more than 40 percent lower than expected.

While the impressive PSVR 2 hasn't been as popular as Sony may have hoped, Meta Quest Pro sales barely scratch the surface of the Quest 2's nearly 20 million units sold, and ByteDance-owned Pico is struggling too. Even Meta has cut the price of Quest Pro from $1,500 to $1,000, just over four months after the product first launched.

Given that Apple's headset is rumored to cost around $3,000, double the Quest Pro's starting price, the iPhone maker could have a steep road ahead as it tries to get traction for its headset. However, it will reportedly have advanced hand tracking, won't require a controller, and can apparently recreate somebody else's full body in VR in one-on-one FaceTime calls.

It is worth noting that the higher price might be an indication that Apple is targeting developers to start, not the mass market, so it may be looking for a different pool of buyers than devices like the PSVR 2. Furthermore, Apple is known for creating high-quality, premium products, so it is possible that the company is positioning its headset as a luxury item for early adopters.

But is there a demand for high-end VR at the moment? It seems not, as recent sales figures for VR devices suggest. However, it is important to note that VR is still a relatively new technology, and it may take time for it to gain mass appeal. Additionally, advancements in technology could make VR more accessible and appealing to consumers in the future.

In terms of Apple's headset, it is not entirely clear why we need it right now. In a recent interview, CEO Tim Cook argued that augmented reality could enhance "communication" and "connection," and the headset itself is apparently focused on "copresence." But those are pretty similar to the arguments that Meta made for the unpopular Quest Pro.

Moreover, it is unclear if Apple has an easy way for developers to bring apps on other Apple platforms to the headset. It is possible that there will only be a few headset-specific apps available at launch, which could limit the headset's appeal to consumers.

It is not just outsiders that are doubtful of Apple's mixed reality headset; even Apple employees have reportedly expressed concerns. However, all signs point toward the company revealing the device at the Worldwide Developers Conference on June 5th.

In conclusion, while Apple's mixed reality headset may be an impressive piece of technology, the company may be getting into the VR game at the wrong time. Recent sales figures suggest that there may not be a significant demand for high-end VR devices, and the high price of Apple's headset could limit its appeal to consumers. Furthermore, it is not entirely clear why we need an Apple headset right now, and the limited availability of headset-specific apps could further limit its appeal. However, it is possible that advancements in technology could make VR more accessible and appealing to consumers in the future, and Apple's headset may be well-positioned to take advantage of this trend.